The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1887-09-30
THE PACIFIC RAILROAD INVESTIGATION.
Judge Dillon Attempts the Cross Examination
ola Witness Who Has Opinions of His Own.

NEW YORK, Sept. 29.-Ex-Senator T. NJ Nor.
wood, of Georgia, appeared before the Pacific
Railroad Commission this morning, to ex.
plain small vouchers for considerable amounts
in the possession of the Central Pacific railroad
which showed him to have received these amounts
for services. Senator Norwood said that he
never did anything for the Central Pacific rail-
road but was engaged counsel for the Southern
Pacific. In 1878 he had left the Senate and en-
tered upon his law practice in Savannah, and
received word that his services were wanted in
Washington. He went there and met Mr..
Huntington. with whom he made a contract to
act counsel for the Southern Pacific railroad
and advance its interests in the South against
Governor SCOTS Texas Pacific Railroad. Wit
ness produced q contract drawn by Mr.. Hunting
ton, which provided for the payment to MIR.
Norwood for his services at the rate Of $40, 666
yearly, with allowance for expenses. He always
made his bills against the Southern Pacific rail
road and drew receipts in favor Of the Central
Pacific. Mr.. Norwood said he knew of no act of
wrong on the part Of the Southern Pacific its
officers unless it was the act of placing these
charges the books of the Central Pacific
Mr.. Cohen said he Vas glad that Mr.. Norwood
had made thIs criticism for he had no doubt
contract by which the Central Pacific
ceiving the earnings of the Southern Pacific and
paying It's expenses.
Col. John c. Reiff of the firm of Woerishoffer
next called to the stand. He knew nothing
about the matter of the Central Pacific Railroad
ing the Kansas Pacific and the Union Pacific
railroads, and was the fiscal agent Of the former
company from 1866 to 1874. Col Reiff said he
would like it understood that he present as
an unwilling witness, as he had already suffered
considerably from the money power that con-
trolls the roads concerning which he was called
to testify. Asked what power he referred to.
he said II suppose Mr.. Gould, he is the boss"
The witness first attacked the consolidation of
the Kansas Pacific with the Union Pacific. He
said the latter road had not lived up to the act
of 1864 with reference to fuli-pad stocks and
had acquired great power by issuing paper
which cost them nothing This
enormous power they had used
to bankrupt the Kansas Pacific and injure
the Colonel and his friends. Since Mr.. Gould
had got into the company the Gould methods
had controlled. and those methods are doing
Just exactly they wanted to, and relying on
the subservency of public officers and courts
under the plea of vested rights. It's too late.
The Union Pacific has during this entire investi-
cation been crying out that they were cramped
by the action of Congress. but they have not
been so greatly cramped, for they have practic-
ally built up their branch lines since the pas
sage of the Thurman act. The witness said
that the company could have paid portion OF
the governments claim, but never proposed any
settlement until CONFUSION was resorted to,
and then it fought The Union Pacific railroad
Colonel Reif said, appeared to be very fortunate
in that 1t possessed resources that allowed 1t to
do what it pleased, and still escape the admins
traitors OF the law. Concerning a proposed ad-
justment OF the governments claim. Colonel
Reiff said: II would not unduly press these
aided companies in the payment of these debts.
l would have the existing laws administered
eoutably, compelling the roads to do exactly
what they are able to and no more"
Judge Dillon expressed desire to crossex-
anime the witness. and proceeded until he
reached the matter of suit brought against the
Union Pacific railroad to test the right of the
road TO construct branches. Colonel Reiff said
ne had nothing to do with the suit and then ap-
pealed to the commission. Il am here as an nm
willing witness. and am willing to submit any
reasonable cross examination, but am not on
trial, and don't know what right Judge Dillon
has here if he has any. Ny relations with the
people whom Judge Dillon represents have been
disagreeabe. and don't want them made any
more so.H
The witness Their submitted to little further
cross xamination. aud started to give little
testimony not ELECTED by the questions of Judge
that they who have been the greatest foes,
es specially if they have been able foes. of the
Union Pacific in Congress. afterwards appear as
their championsl The author of the Thompson
BILL defeated for reelection by these people, APP
peared in their employ at the next session of
Congressl
Who is the company's biggest friend in the
Senate of the United Statesa George f.
Hoar, who signed the Credit Mobliier re-
port. Who are their Washington attorn-
cyst Shellabarger and Wilson. who signed the
same report. If had my way. would have
Congress pass simple bill declaring that when
the United States has a money interest in any
corporation. IL shall have all the rights possessed
by stakeholder. This, think would settle
the entire matter" Regarding the government
directors Of the Union Pacific. Mr. Reiff said:
IF there were thirteen members a board of
directors at meeting, and Mr. Gould were one
of them, l would bet on Mr.. Gould getting just
what he wanted at such meeting every time"
Judge Dillon desisted from further examination,
and a recess taken.
After the recess Mr. /. N. Gaetz was called.
he the stand Wednesday, and was then